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SINGAPORE, Oct 30 (Reuters) Gold recaptured $600 on Monday as investors shifted money back into the metal after weak U.S. growth data reinforced expectations the Federal Reserve would keep interest rates on hold for some time, which hurt the dollar.

Firmer crude oil and purchases from Japanese speculators also helped lift spot gold to $602.50 an ounce, its highest since Oct. 2.

Gold was quoted at $601.80/603.20 by 0339 GMT, higher than $598.20/599.70 late in New York on Friday, when it had gained more than $2 an ounce.

Dealers pegged the next resistance at $605 an ounce.

''Perhaps people are not so bearish any more and they want to buy back some more. This is more of a U.S. dollar-related story, to be honest,'' said a dealer in Sydney.

The dollar was within sight of a one-month low against the yen after the U.S. Commerce Department said on Friday that economic growth in the third quarter slowed to 1.6 percent, its weakest pace in over three years due to a slumping housing sector.

The dollar fell to 117.25 yen from around 117.60 in late U.S. trade. The euro inched down to $1.2725 , still near Friday's peak of $1.2751 -- the highest in more than three weeks.

Gold was hit by persistent selling last week, tumbling to its lowest level in nearly two weeks around $573 as investors shifted their attention to stocks, and to grains markets where concerns about tight supplies pushed prices to multi-year highs.

But investors, who have taken profits in a buoyant stock market, were freeing up money for gold as expectations the Fed would keep interest rates steady for a while lift the metal's appeal as an alternative investment, said dealers.

Purchases from retail investors in Japan picked up as gold reclaimed $600 an ounce but the metal's performance in New York later on Monday may determine its future direction, said Yukuji Sonoda, precious metals analyst at Daiichi Commodities in Tokyo.

''The next target is $605. At the moment, $600 is the most important level,'' said Sonoda, adding that a close above $600 in New York would trigger more buying in Asia on Tuesday.

The benchmark contract on the Tokyo Commodity Exchange , October 2007, added six yen per gram to 2,295 yen per gram, reflecting gains in New York's COMEX market.

Platinum rose to $1,080/1,090 an ounce from $1,071/1,076 late in New York. Palladium also rose, to $321/326 an ounce from $316/321.

Silver edged up to $12.12/12.17 an ounce from $12.02/12.09 late in New York.

REUTERS PKS DS1140